Australia’s Property Market Forecast for FY25

Australia’s Property Market Forecast for FY25

Capital City and Regional Insights

The Australian property market in FY25 is set to demonstrate varied growth across capital cities and regional areas. With stabilising inflation, steady wage growth, and a resilient labour market, many regions present significant opportunities for high-yield property investment.

Here’s a closer look at the latest data and insights from Aus Investment Properties on where the market is heading this financial year.

Economic Overview

Recent data from the Australian Bureau of Statistics (ABS) highlights a moderation in the Consumer Price Index (CPI), bringing inflation closer to the Reserve Bank of Australia’s target range. This stabilisation, combined with steady wage increases, supports stronger purchasing power and housing affordability, even as interest rates remain high​.

With low unemployment figures and a stable workforce, Australia's labour force remains resilient, underpinning the demand for housing across the country​.

Capital City Growth Forecasts:

• Sydney: Expected house price growth of 3-5% and unit price increases around 2-4%, supported by steady economic indicators and wage improvements.
• Melbourne: Projected to see a more modest 1-3% house price increase, while units may rise by 2-4% as the market stabilises following previous fluctuations.
• Brisbane: Buoyed by strong employment and infrastructure development, Brisbane’s housing market is forecasted for a 4-6% rise in house prices and 3-5% for units.
• Perth: House prices in Perth are expected to grow by 6-8%, driven by affordability and strong local demand; units could increase by 3-5%.
• Adelaide: Adelaide continues to show steady growth, with projected increases of 5-7% in house prices, supported by high demand and low vacancy rates.
• Canberra: Canberra’s stable job market should lead to modest growth of 2-4% for houses and units.
• Hobart and Darwin: Both markets are expected to experience growth of 1-3%, reflecting demand from affordability-seeking buyers.

Regional Market Highlights

For investors seeking affordable high-yield property, Australia’s regional markets continue to offer attractive opportunities:

• Regional NSW and VIC: Projected house price growth of 2-4% due to high lifestyle appeal and population growth.
• Regional QLD: With locations like the Sunshine Coast experiencing ongoing demand, house prices here are expected to grow by 3-5%.

Investment Opportunities with Aus Investment Properties

At Aus Investment Properties, we are here to help you navigate these dynamic market conditions and find high-yield property investments across Australia. Whether you're looking to invest in Sydney, Melbourne, or the growth corridors in regional Queensland, our portal provides access to exclusive listings from all across Australia.

Ready to start your property investment journey? Visit Aus Investment Properties to explore Australia’s best investment opportunities and get personalised insights tailored to your investment goals.

Source: ABS Consumer Price Index report, the Wage Price Index, and the Labour Force statistics.